20.720.010 Required improvements and agreement to complete A. Applicability. The requirements of this chapter shall apply in all instances where improvements are required to be constructed in conjunction with the division of land pursuant to this title and where improvements are proposed in conjunction with other development permits. B. Completion of improvements. Before a final map, parcel map or final division of land into large parcels is signed by the county engineer and any easements offered for dedication to the public are accepted by the county, or before a final certificate of occupancy is issued for a new structure, all developers shall be required to complete, in accordance with the applicable development approval and to the satisfaction of the county engineer, all project improvements, system improvements and lot improvements on the individual lots, as required in this code and as specified in the conditions of approval of the applicable map, and to dedicate those public improvements to the county, free and clear of all liens and encumbrances on the dedicated property and public improvements. The developer also shall construct at his sole cost all temporary improvements required as a condition of approval of the applicable map or development and shall maintain those temporary improvements for the period specified in such approval. C. Deferral of required improvements. As an alternative to completion of improvements prior to final map approval, or issuance of a permanent certificate of occupancy, the board, commission, or official authorized to approve the applicable map or development may permit the developer to enter into an improvement agreement prepared in conformance with section 20.720.020 and secured pursuant to 20.720.030, by which the developer covenants to complete all required improvements. D. Failure to complete improvements. For divisions of land and other development projects for which no improvement agreement has been executed and no security has been posted pursuant to this chapter, if the required improvements are not completed within the period specified in the applicable approval conditions, or within two years following the date of recordation of a final map or issuance of a building permit, the applicable map or development approval shall be deemed to have expired. (Ord. 801, 1998; Ord. 763, 1996; Ord. 390, 1981; Ord. 158, 1967)

20.720.020 Improvement agreement A. Agreement. The developer shall agree to construct and complete all required improvements no later than two years following the date of recordation of a final map or issuance of a building permit. The developer also shall agree to warrant that all required public improvements shall be free from defect in design, workmanship and materials for a period of at least one year following acceptance of the offer of dedication of the last completed public improvement by the appropriate authority. The improvement agreement shall include, but may not be limited to, the following: 1. A detailed reference to the improvements requiring completion, including an engineer's cost estimate; 2. A specific date for completion of all improvements, fixed by the county engineer, which date shall not be longer than two years from the date on which the county engineer signs the map; 3. A requirement for a certificate from the developer's engineer stating that all work has been completed in accordance with the improvement drawings and specifications; 4 A requirement that a notice of completion issued by the county engineer be submitted indicating that all improvements comply with the applicable map approval requirements and this code; 5. A requirement for written acceptance of all public improvements by the board or governing body of the agency or political subdivision having jurisdiction of the same upon their completion; 6. An explanation that the financial security may be withdrawn upon final completion of the improvements only after the written approval of the board or following reduction of such security as provided in this chapter; 7. A provision that the applicant shall repair, at his sole cost and expense, any hidden defects in design, workmanship and materials which appear in the work within one year following acceptance by the county; 8. A provision requiring financial security for the warranty obligation for specified improvements which shall be submitted to the board prior to withdrawal of the original financial security; 9. The agreement may include a provision requiring the developer to maintain each required public improvement for a period of one year following acceptance of the dedication of that completed public improvement; and 10. Where temporary improvements are required, a provision agreeing to maintain such improvements. B. Covenants to run. The improvement agreement shall provide that the covenants contained in the improvement agreement shall run with the land and bind all successors, heirs and assigns of the developer. The agreement will be adopted by the board and shall be recorded with the county recorder. (Ord. 801, 1998; Ord. 763, 1996; Ord. 516, 1990; Ord. 390, 1981; Ord. 158, 1967)

20.720.030 Security A. Whenever the county permits a developer to enter into an improvement agreement, the developer shall provide a letter of credit, cash escrow, or certificate of deposit as security for the improvement completion and warranty and maintenance promises contained in the improvement agreement, including those pertaining to temporary improvements. A developer who wishes to secure for improvements totaling in excess of $250,000 shall provide security in the form of a letter of credit, cash escrow or certificate of deposit. A developer who wishes to secure for improvements totaling $250,000 or less may provide security in the form of a performance bond. Whichever form of security chosen shall be an amount equal to 150 percent of the approved engineer's cost estimate, including lot improvements. The security shall name Douglas County exclusively as the beneficiary of the security. The issuer of the letter of credit or certificate of deposit or the escrow agent, as applicable, shall be acceptable to the county. Where a performance bond is utilized, each insurance company’s rating as shown in the latest Best’s Key rating guide shall be fully disclosed and entered on the required certificate of insurance. The adequacy of the insurance supplied by the developer, including the rating and financial health of each insurance company providing coverage, is subject to the approval of the county. 1. Letter of Credit. If the developer posts a letter of credit as security for his improvement agreement, the letter of credit shall (1) be irrevocable; (2) be for a term sufficient to cover the completion and warranty periods in subsection 20.720.010 B(1); (3) require only that the government present the letter of credit with a sight draft and an affidavit signed by the director or district attorney attesting to the county's right to draw funds under the credit; and (4) be through a Nevada federally insured lending or banking institution. 2. Cash. If the developer posts cash as security for its promises contained in the improvement agreement, the developer shall have no right to return of any of the funds except that as provided in subsection 20.720.030.C. and the funds shall be held in noninterest bearing account. 3. Certificate of deposit. If the developer posts certificates of deposit as security for the improvement agreement, the certificates of deposit shall (1) be irrevocable; (2) be for the deposit time stated in the executed improvement agreement; and (3) provide that all interest shall inure to the benefit of the developer or his successor in interest. 4. Performance bond. If the developer posts a performance bond as security for his improvement agreement, the performance bond shall (1) be irrevocable; (2) be for a term sufficient to comply with the completion and warranty periods in subsection 20.720.010(B); and (3) be issued through an insurance company.The insurance company must rate the contractor for the amount required to be bonded. B. Governmental units. Other governmental units to which these improvement agreement and security provisions apply may file, in lieu of the improvement agreement and security, a certified resolution or ordinance from officers or agencies authorized to act in their behalf, agreeing to comply with the provisions of this chapter. (Ord. 801, 1998; Ord. 763, 1996; Ord. 516, 1990; Ord. 390, 1981; Ord. 158, 1967)

20.720.040 Site improvement permits A. Prior to the commencement of any work on improvements, the developer shall obtain a site improvement permit from the county engineer, accompanied by a fee, as set by resolution of the board. All costs for inspection services provided by personnel not employed by the county engineering department shall be contracted for and paid by the developer. B. The developer's engineer shall provide as-built construction drawings to the county engineer and other applicable utility. (Ord. 801, 1998; Ord. 763, 1996; Ord. 516, 1990; Ord. 390, 1981; Ord. 158, 1967)

20.720.050 Security for temporary improvementsIn the event that the developer has not entered into an improvement agreement addressing temporary improvements pursuant to section 20.720.020, prior to construction of a temporary facility or improvement, the developer shall file with the county a separate improvement agreement and a letter of credit, certificate of deposit or cash in the amount appropriate for temporary facilities, which agreement and credit or escrow shall ensure that the temporary facilities will be properly constructed, maintained and removed. (Ord. 763, 1996)

20.720.060 RemediesIn those cases where an improvement agreement has been executed and securities have been posted and required public improvements have not been installed within the terms of the agreement, the county may then: A. Declare the agreement to be in default and require that all the improvements be installed regardless to the extent of the building development at the time the agreement is declared to be in default; B. Suspend map approval until the improvements are completed and record a document to that effect for the purpose of public notice; C. Obtain funds under the security and complete improvements itself or through a third party; D. Assign its right to receive funds under security to any third party, including a subsequent owner of the land to be divided for which improvements were not constructed, in whole or in part, in exchange for that subsequent owner's promise to complete the required improvements; or E. Exercise any other rights available under the law. (Ord. 763, 1996)

20.720.070 Acceptance of dedication offersAcceptance of formal offers of dedication of streets, utilities, public areas, easements, and parks shall be made in accordance with adopted board policy, by the board, commission or official authorized by this title to approve the applicable map. The approval of any map authorizing the division of land, or approval of a site improvement or building permit shall not be deemed to constitute or imply the acceptance by the county or other entity of any public improvement on the map. The county engineer may require a final map to be endorsed with the appropriate notes to this effect. (Ord. 801, 1998; Ord. 763, 1996; Ord. 641, 1994; Ord. 500, 1989)

20.720.080 Inspection and certification of improvements A. General procedure and fees. The county engineer or building official, where applicable, shall provide for inspection of required improvements during construction and ensure their satisfactory completion. Prior to the commencement of any work, the developer shall obtain a site improvement permit or building permit, where applicable, and provide a fee set by resolution of the board. All costs for inspection services provided by personnel not employed by the county engineering division shall be contracted for and paid for by the developer. Where the improvements are completed prior to approval of the applicable map, such map shall not be signed by the county engineer unless the inspection fee has been paid at the time of application. No building permits or certificates of occupancy shall be issued until all fees are paid. If the county engineer finds upon inspection that any one or more of the required improvements have not been constructed in accordance with the county's construction standards, design criteria and improvement standards and specifications, the applicant shall be responsible for properly completing the improvements. B. Notice of completion. The dedication of required improvements will not be accepted, nor the amount of any remaining security posted by the developer be reduced until the county engineer or other utility has submitted a notice of completion stating that all required improvements have been satisfactorily completed and until: 1. The applicant's engineer or surveyor has certified to the county engineer and other utility, through submission of a detailed "as-built" survey, indicating location, dimensions, materials and other information required by the county engineer, that the layout of the line and grade of all public improvements is in accordance with the construction plans; 2. A title insurance policy has been furnished to and approved by the county district attorney indicating that the improvements have been completed, are ready for dedication to the county and are free and clear of any and all liens and encumbrances. Upon such approval and recommendation by the county engineer and district attorney, the board, commission or official authorized by this code to approve the applicable map shall thereafter accept the improvements for dedication in accordance with the established procedure. 3. A warranty bond or other form of security in conformity with the provisions of sections 20.720.090 and 20.720.100 is posted for the warranty period. (Ord. 801, 1998; Ord. 763, 1996)

20.720.085 Warranty A. The developer shall warrant all improvements for a period of one year, commencing on acceptance of the last of the public improvements, and without delay or cost to the county replace or reconstruct any defective or otherwise unsatisfactory part or parts of the improvements. B. A warranty bond or other form of security acceptable to the county shall be posted for the warranty period for wastewater lines and facilities, water lines and facilities, traffic signals and other electrical facilities. The amount of the warranty bond shall be equal to an amount established by an approved engineer’s estimate for the cost of replacement of the improvements. (Ord. 801, 1998)

20.720.090 Reduction of escrowed funds and security A. If the security posted by the developer was a cash escrow, the amount of that escrow shall be reduced upon actual acceptance as completed, of public improvements and then only to the ratio that the costs of public improvements for which dedication was accepted bears to the total cost of public improvements for the land division. In no event shall a cash escrow be reduced to less than 10 percent of the original amount unless and until a warranty bond or other form of security established in the improvement agreement, if required, is posted for the warranty period. B. If the security provided by the developer was a letter of credit, or a certificate of deposit the county shall execute waivers of the county's right to draw funds under the credit upon actual acceptance of the dedication of public improvements and then only to the ratio that the cost of the public improvements for which dedication was accepted bears to the total cost of public improvements for the land division. No waivers may be executed that would reduce the security below 10 percent of its original amount unless a warranty bond or other form of security established in the improvement agreement is posted for the warranty period. (Ord. 801, 1998; Ord. 763, 1996)

20.720.100 Security for warranty of improvementsIn the event that the developer has not entered into an improvement agreement pursuant to Section 20.720.020, he shall provide a warranty bond or other acceptable form of security if required. The amount of the warranty bond shall be equal to an amount established by an approved engineer’s estimate for cost of replacement of improvements. The issuer of the security, as applicable, shall be acceptable to the county. (Ord. 801, 1998; Ord. 763, 1996)

20.720.110 Issuance of building permits and certificates of occupancy A. Except as otherwise provided in section 20.720.120 below, when an improvement agreement and security has been required by this chapter, no certificate of occupancy for any structure or facility built on the project covered by such agreement shall be issued prior to the completion of the required public improvements and the acceptance and dedication of the required improvements. B. No building permits shall be issued for the final 10 percent of lots in a land division, or if 10 percent be less than two, for the final two lots of the land division, until all required improvements have been fully completed and the developer's offer(s) to dedicate the improvements have been accepted, by the appropriate authority. (Ord. 801, 1998; Ord. 763, 1996; Ord. 625, 1994)

20.720.120 Issuance of building permits for model homes A. Building permits for up to four model homes may be issued within an approved tentative subdivision map prior to the recording of the final map in accordance with the following: 1. No more than four model homes may be located within a subdivision, regardless of phasing or ownership. If a final map is recorded for the tentative subdivision or phase within which they are located, certificates of occupancy are issued and the homes sold, then the subdivider may apply for issuance of a temporary use permit for the construction of model homes in a subsequent phase. 2. Adequate fire flows and emergency access to the site or sites must be provided. 3. The applicant shall obtain a temporary use permit for the model homes, and the department may impose reasonable conditions on the issuance of such permit. 4. No certificates of occupancy shall be issued until the final map or phase within which the model homes are located is recorded and all subdivision improvements are complete and accepted. (Ord. 801, 1998; Ord. 763, 1996; Ord. 625, 1994)